RAILforum: Bush, Mineta say No Amtrak Shutdown

This is topic Bush, Mineta say No Amtrak Shutdown in forum Amtrak at RAILforum.

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Posted by Trainsandmore (Member # 896) on :

Yahoo news.com just reported that With Amtrak on the brink of a nationwide shutdown, a senator said President Bush and Transportation Secretary Norman Y. Mineta assured Monday that is today that they will keep the nation's passenger railroad operating.

Sen Robert Torricelli D-N.J., said Mineta "gave his word" that the administration will find a way to resolve Amtrak's immediate fincial crisis.

Torricelli discussed Amtrak with Bush and Mineta on Monday during a visit by the president to New Jersey.

He said Bush also "made clear his insistence that there be some changes in Amtrak, some reform in structure and operation.

Members of Amtrak's governing board were gathering in Washington Monday that is today for an afternoon meeting with Mineta, who last week outlined several changes for the money-losing passenger railroad.

Amtrak's new president, David Gunn, says he is open to change but first must find $200 million to close a budget shortfall.

The Federal Railroad Administration, a part of the Transportation Department,is reviewing Amtrak's request for a loan guarantee for the needed $200 million. Amtrak has had trouble tapping its existing line of credit because lenders are unsure how long it can remain in business.

If the railroad administraiton were to rule that Amtrak does not qualify for a loan guarantee, the only options would be a congressional appropriation or an order by lawmakers that the agency grant one.

But time is running out: Gunn has said he would have to begin turning away passenges and directing trains to storage yards by the middle of this week.

A shutdown of Amtrak also could affect commuter railroads serving hundreds of thousands of people, mostly along the Atlantic Seaboard.

Torricelli and Sens. Charles Schumer of New York and Jon Corzine of New Jersey, all Democrats, said Sunday that inaction in the crisis would throw the New York Mettropolitan region in chaos.

Torricelli said Monday he is open to long-term reforms, but "right now we don't have time to worry about the long term. We have to worry about people not getting to work on Thursday."

Posted by CarterB (Member # 1439) on :

Did I hear correctly, the Mineta 'offered' Gunn $200M to keep going and Gunn flatly rejected it? leading to Mineta calling a meeting of the Amtrak Reform Board???

Is this the ole Foggy Bottom Two-Step, whereby an offer is made by Politician/s, known afforehand to be refused by a Bureaucrat.............leading to ultimate killing of the offer ........and the entity. And leaving the Pols in a " well we did everything we could to save it." mode and letting the Bureaucrat be the fall guy who goes on to an even higher paying job elsewhere?

Posted by RRRICH (Member # 1418) on :

Carter - where did you hear that? Can this story be substantiated? Sounds pretty bizarre to me, although I know that things like that DO happen.......

Posted by Amtrak207 (Member # 1307) on :

If they are saying no to a shutdown, why won't they do what is necessary to avoid one? Maybe something like defining your policy sometime between the original announcement February 2 and last thursday?
I'm not convinced until that $1.2M shows up.

Posted by Mr. Toy (Member # 311) on :

Carter, unless you can provide a source of that I'm going to file it under "Unsubstantiated Rumor."

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Trust God, love your neighbor, and never mistake opinion for truth.
-Mr. Toy

The Del Monte Club Car

Posted by Gilbert B Norman (Member # 1541) on :

If what in fact Mr. Morris has reported is to be the case, that has got to be up there with the Roger Lewis blunder of "one billion (1972 $) is more money than we can sensibly commit".